The duty of __________ requires officers to exercise reasonable supervision over the business affairs of the corporation.
A) care
B) loyalty
C) obedience
D) ethics

Question

Quizplus · Accepted Answer

The duty of care requires officers to exercise reasonable supervision over the business affairs of the corporation. This means that officers must act with the care that a reasonable person would use in a similar situation to ensure that the corporation is being managed properly. The other choices are also important duties for officers of a corporation, but they do not specifically relate to exercising reasonable supervision over business affairs.

The Duty of __________ Requires Officers to Exercise Reasonable Supervision